i
ex
M
e
ac
sp
o
er
A
Destination Big Resorts
i
’s try
condus
A New Player
in the it game
S
Rapidly Growing Thanks to
a Qualified and Competitive Staff
Interactive Poetics
Transforming Communication
Chips Without Salsa
february 2009
Integrated Circuits
Business trips
Urban Pleasures
2 Negocios
32
Firms
8
Mexico,
A Strategic Ally in IT
By Bruno Ferrari
18
Keeping a
tight rein on
pollution from
Mexico to Asia
World leader in the development
of smog and pollution detection
technology
Mexico’s
Aerospace
industry rising
thanks to education
Contents
10 Table of names
11 Briefs
24 Mexico’s Partner
40 Figures
38 Business tips: it industry: where to invest
Chips without salsa,
integrated circuits
Since 1990 Mexico is placed
among the top 10 chip producing
countries in the world
14
28
A very
serious game
The interactive
media development
that has reached
international levels
It Innovation
Sparked
by Mexican
Company
20
A Business
Country
Mexico is one of the countries with the most Free Trade Agreements and
Commercial Agreements.
Free Trade Agreements with:
- United States and Canada
- European Union (27 countries)
- Israel
- Chile
- Uruguay
- Colombia
- Bolivia
- Costa Rica
- Salvador, Guatemala and Honduras
- Nicaragua
- European Free Trade Association:
Norway, Swiss, Liechtenstein, Iceland.
Fortification of the Economic Association Agreement between
Mexico and Japan.
Complementing Economic Agreements with:
Argentina, Brazil, Cuba, Peru.
In addition, the political system in Mexico favors the development of new
businesses and offers legal security for investment.
4 Negocios
44
Directory
Entertainment
Mexican beats
go electric
ProMéxico CEO
Bruno Ferrari
ProMéxico Image and
Communications Director
Ricardo Rojo
Proméxico Managing
Coordinator
Andrés Tamariz
Electronic Culture has blossomed and
it continues to thrive and grow
Proméxico Advertising
and Suscriptions
Miguel Ángel Samayoa
[email protected]
Proméxico copy editing
Gabriela Mejan Ganem
Publisher
Alejandro Serratos
[email protected]
general manager
Emmilú López Valtierra
[email protected]
Taller México copy Editing
Felipe Zúñiga
[email protected]
The lifestyle Contents
Breathtaking
resorts
Staff Writers
Karla Barajas
[email protected]
Orlando Santamaría
[email protected]
Yara Sánchez
[email protected]
Unforgettable Experiences
54
42 Design
Interactive poetics
Siete / Media
Interactive Technologies
design director
Jorge Silva
[email protected]
Design
Ma. Elena López
[email protected]
Juan Pablo Valadez
[email protected]
Destination:
51 The Lifestyle Briefs
senior writer
Emmanuel López-López
[email protected]
58 Report
business trips
Urban Pleasures
62 Feedback
Alas foundation
Wings for children
Editorial Assistant
Naty Ramos
[email protected]
Proof Reading And Translation
Lozano Translations
contributors
Karla Bañuelos, Carlos Beltrán, Mauricio
Ferrer, Itziar Gómez Jiménez, Juan Antonio
Lozano, Alvin Monárrez, René Valencia,
Mauricio Zabalgoitia.
This is an editorial project for ProMéxico
by Taller México
ProMéxico is not responsible for inaccurate information or omissions that might exist in the information provided by the participant companies nor of
their economic solvency. Title certificate of lawfulness 008404. Text certificate of lawfulness 5017. Number of Title Reserve 04-2005-11292235400102. Postal Registry PP09-0044. Responsible editor: manager in turn of the publications department. Printing: Cía Impresora El Universal, S.A. de
C.V. Distribution: ProMéxico Camino a Sta Teresa 1679, México D.F., 01900. Phone: +52 (55) 5447 7000. Negocios is an open space where diverse
opinions can be expressed. The institution might or might not agree with an author’s statements; therefore the responsibility of each text falls on the
writers, not on the institution, except when it states otherwise. Although this magazine verifies all the information printed on its pages, it will not accept
responsability derived from any omissions, inaccuracies or mistakes.
Juana de Arco 29a,
Col. Vallarta Norte. 44690.
Guadalajara, Jal. México.
T +52 (33) 3336.5218
+52 (33) 3336.7478
www.tallermexico.com
A Competitive
Country
Mexico is a country of young people. Within the next 30 years, the economically
active population will rise to 69 million.
3 millions
250,000
2,000
Universities
Postgraduate students
Young
students
This is how Mexico molds competitive, highly qualified professionals, so it can
attend to the needs of the different productive sectors within the country.
Advantages of Investing in Mexico:
Access to the North American market, which shares the same time zone.
Qualified personnel in English and Spanish, two of the three most spoken languages
in the world.
6 Negocios
illustration: oldemar
Map of Cities
Mentioned in this issue
A
C
R
L
gulf of
mexico
D
B
pacific
ocean
S
Q
V
P
K
F
H
J
I
U
N
T
E
DF
G
A
Baja California 27, 30, 34, 55
B
Baja California Sur
M
Tijuana 34, 46
Cabo San Lucas 55
Bahía de Banderas 52
L
Nuevo León 27, 38, 60
M
Puebla 27, 50, 53
Chihuahua 12, 34
N
Querétaro 30, 34, 38
Ciudad Juárez 53
O
Quintana Roo
Los Cabos 53, 55
San José del Cabo 55
C
D
Monterrey 30, 34, 38, 53, 58
Coahuila
Cancún 56
Piedras Negras 11
Coba 56
E
Estado de México 24, 38
Playa del Carmen 56
F
Guanajuato 18
Puerto Morelos 56
G
Guerrero
Riviera Maya 51
Ixtapa-Zihuatanejo 56
H
Jalisco 13, 14, 27, 39
Chapala 30, 39
Tulum 56
P
San Luis Potosí 44
Q
Sinaloa 27, 38, 44
R
Sonora 27, 38, 44
S
Tamaulipas
T
Veracruz 27
U
Yucatán
Guadalajara 14, 24, 28, 39, 44, 50, 58
Zapopan 24, 49
DF
Mexico City 18, 24, 26, 30, 34, 39, 42,
44, 62
I
Guaymas 12
Michoacán 51, 58
Morelia 53
J
Mazatlán 38, 53
Morelos
Nuevo Laredo 53
Tepoztlán 51
K
Nayarit
Chicen-Itzá 56
V
Zacatecas 53
O
A Surprising
Country
1 out of every 5 automobiles
sold in US is made in Mexico.
The Mexican automotive industry grows 11% annually, the
country is one of the world’s main producers of vehicles
and its exports in 2008 surpassed 42 billion USD.
Last year Mexico exported 80 million mobile phones worldwide and
one out of every four televisions sold in the US was manufactured in
the country.
IT in Mexico grew 15% last year and the country is
becoming a hub for Business Process Outsourcing. There are
more than 1,370 enterprises and 500,000 professionals
specialized in this area.
In only one year, Mexican
aerospace industry grew 31%, summing
more than 160 companies with
operations in the country. Mexico is the fifth
leading provider for the European Union
aerospace industry and the ninth for the United States.
Mexico is one of the ten most visited countries. More
than 21 million visitors annually enjoy 7,000 miles of beaches,
numerous colonial cities and hundreds of archaeological sites.
Currently, important tourism-related infraestructure projects
are being undertaken. The country remains the first choice
for the establishment of second or retiree homes in
North America.
8 Negocios
From the CEO
Mexico,
D
a strategic ally in IT
oing businesses in Mexico is a good business.
The country offers unique conditions for the
development of global enterprises including
geographic and time proximity with North
American and Latin American markets, both
regions share cultural ties with our country; economic and political stability
and a large network of free trade agreements that reduce production costs and
provide legal security to investors.
In the Information Technology sector, Mexico is a strategic ally to companies
from all over the world. It has proven to be a trusted partner, with innovative solutions and production processes that meet the highest international
quality standards.
Mexico is prepared to take advantage of the largest number of possibilities for
this sector’s growth. With a privileged location that allows direct access to the
United States market, the world’s number 1 consumer of information technologies; highly qualified personnel and a solid public policy, our country is today
one of the main destinations for the world’s software, Information Technology
and Business Process Outsourcing (BPO) industries.
This is why we have dedicated this issue of Negocios to the Information Technology national industry. As usual, our latest edition also includes the most
complete information on businesses as well as the country’s social and cultural
lifestyles.
Sincerely,
Bruno Ferrari
ProMéxico CEO
offices abroad
Singapore Regional Director
ProMéxico Headquarters
+ 52 (55) 544 77070
[email protected]
www.promexico.gob.mx
[email protected]
Offices: Dubai, Mumbai, Singapore,
Sydney, Taipei
Dubai
[email protected]
Mumbai
[email protected]
Singapore
[email protected]
Sydney
[email protected]
America
Sao Paulo Regional Director
[email protected]
Offices: Buenos Aires, Bogota, Guatemala,
Santiago, Sao Paulo
Buenos Aires
[email protected]
Bogota
[email protected]
Guatemala
[email protected]
Santiago
[email protected]
Sao Paulo
[email protected]
New York Regional Director
[email protected]
Offices: Atlanta, Chicago, Miami,
Montreal, New York, Toronto
Atlanta
[email protected]
Dallas
[email protected]
Houston
[email protected]
Los Angeles
[email protected]
San Francisco
[email protected]
Vancouver
[email protected]
Europe
London Regional Director
Chicago
[email protected]
[email protected]
Offices: Brussels, London, Madrid,
Milan, Paris
Miami
[email protected]
Brussels
alejandro.saldivar @promexico.gob.mx
Montreal
[email protected]
London
[email protected]
New York
[email protected]
Madrid
[email protected]
Toronto
[email protected]
Milan
[email protected]
Houston Regional Director
[email protected]
Offices: Dallas, Houston, Los Angeles,
San Francisco, Vancouver
Taipei
[email protected]
Asia
Paris
[email protected]
Shanghai Regional Director
Frankfurt Regional Director
Hong Kong
[email protected]
Frankfurt
[email protected]
Shanghai
[email protected]
Moscow
[email protected]
Seoul
[email protected]
Stockholm
[email protected]
Tokyo
[email protected]
Switzerland
[email protected]
[email protected]
Offices: Hong Kong, Shanghai, Seoul,
Tokyo
[email protected]
Offices: Frankfurt, Moscow, Stockholm,
Switzerland
10 Negocios
table of names.
ACTRON INC. 18
AMD 14
ANDROS TECHNOLOGIES 18
Azcárraga Jean, Emilio 62
BANYAN TREE 59
Barragán Torres, León
Christian (MATA) 45
BOMBARDIER 34
Calderón, Felipe 62
CAPELLA HOTELS
& RESORTS 56
CARSO GROUP 62
CEIBA DEL MAR 56
CESSNA 36
CGBOT 30
De la Monja, Esteban 49
De la Torre, Javier (Píldora) 50
DELOITTE 20
DIMTV 30
Dirand, Joseph 60
DJ Azzid 46
DJ Calambrín 44
DJ Chrysler 44
DJ Kemit 46
DJ Lucky 46
DJ Martín Parra 44
DJ Marvin 46
DJ Plastik 46
DJ Tini-Tun 44
DJ Toy 46
DJ Vee-Line 46
DJ Yodo 46
DJ Zenith 46
Eames, Charles 58
Eashid, Karim 58
EATON 38
Emmanuel 62
FLEXTRONICS 15, 18
Flores, Luis 44
Front 242 44
GARTNER INC. 25, 28
Garza, Rogelio 28
GENERAL ELECTRIC 16, 39
GENERAL MOTORS 17
Gómez, Ricardo 28, 31
González Homero (aka H) 49
GOODRICH 36
Gruner, Silvia 58
Hansen, Fritz 58
HEBEI BODA INDUSTRY 12
Hendrix, Jan 58
HEWLETT-PACKARD 16, 20, 39
HITACHI 39
Huerta Cano, Dalia 50
Hunter, Gordon 11
IBM 16, 20, 39
IDEAR ELECTRONICS 24
IGATE 13
IKOR 16
IMMERSION GAMES 28
INTEL 14, 39
Instituto Politécnico Nacional (IPN) 36
Instituto Tecnológico y de Estudios
Superiores (ITESM) 36, 38
JABIL CIRCUITS 16
JACKBE 27
Jarre, Jean Michel 44
Jiménez, Pedro 24
Jiménez, Rigoberto 24
KODAK 16, 39
Kraftwerk 44
LA CASA QUE CANTA 56
LITTELFUSE 11
Los Tigres del Norte 62
Lucero 62
MABE 16
Maná 62
MARRIOTT HOTELS 51
Martínez, Eduardo (Meiker) 50
MERCER HUMAN RESOURCES
CONSULTING 39
MEXIKOR 16
Morales, Jorge 28
MOTOROLA 14
Murthy, Phaneesh 13
NATIONAL SEMICONTUCTOR 14
New Order 44
Nicklaus, Jack 52
Nopal Beat Records 44
Nortec 44
ON SEMICONDUCTOR 39
Onetto, Marc A. 16
ORACLE SOLUTIONS 39
Ortega, Arturo (Piscis) 49
Parga Jiménez, Octavio 14
Pink Floyd 44
PRAXAIR 18
PROGRESS FIVE 18, 27
ROSEWOOD HOTELS 52, 60
Rubio, Paulina 62
SCI/SAMINA 16
Shock Bukara 46
SIEMENS 39
SIGNETICS 14
Sintek, Aleks 62
Slim, Carlos 62
SOFTTEK 20, 27
SOLECTRON 16
Solís, Margarita 31
ST. CLAIR TECH 12
STARWOOD HOTELS
& RESORTS 52
TDCOM 16
TELEVISA GROUP 62
Timbiriche 62
Treviño, Blanca 22
TURNMIX 16
Ultravox 44
UNIVERSIDAD AUTÓNOMA
DE MÉXICO (UNAM) 36
Universidad Técnica de
Querétaro (UTEQ) 36
VINOMEX 12
briefs.
Electrical
Beacon
of success
Littelfuse, a leading manufacturer of electrical fuses,
has invested 15 million usd
to install its third assembly
plant in Piedras Negras, in
the northern state of Coahuila. From Mexican production plants, the company is
able to supply the automotive and electric industries in
more than 20 countries.
Company president Gordon Hunter asserts that conditions offered by Coahuila
are appropriate to satisfy
the growing national and
international demand for
his firm’s products. This is
why the company has decided to open its new plant,
which will directly employ
more than 480 people.
www.littelfuse.com
12 Negocios
illustrations: paola vicencio
strategy
automotive
A reliable partner
Canadian
Technology
Mexico is one of the
top five countries
when it comes to
making it easy
to carry out
businesses in
Latin America,
according to
Worlds Bank report
Doing Business 2009.
The report stresses that
Mexico is one of the best
options in the region
regarding “handling of
construction permits” and
“closing a business” at ease.
St. Clair Technologies Inc.
the Canadian automobile
electronic systems
manufacturer is expanding
operations in the northern
city of Guaymas, Sonora.
Their plant will grow from
90,000 to 126,000 square
feet. The project is the
result of 12 successful
years of the company’s
trajectory in Mexico.
www.stclairtech.com
www.doingbusiness.org
spirits
In good spirits
to China
In the following months,
China will taste a new
Mexican drink called
Sotol. Vinomex, a company
headquartered in the
state of Chihuahua, will
soon export this distilled
alcoholic spirit drink made
from a wild agave plant
called sereque or sotol.
Vinomex will distribute its
product through Chinese
enterprise Hebei Boda
Industry. Exports are
expected to reach 18 million
usd earnings per year.
www.vinomex.com.mx
briefs.
It Technology
Opening gate
With a 2 million usd
investment, the Indian
company iGATE has
opened a new branch in
Guadalajara, Jalisco.
The center will be offering
technology services and
business process
outsourcing to clients
in the United States
and Latin America.
“Mexico’s proximity to
the US and its participation
in the North American Free
Trade Agreement make it a
perfect location for a supply
center of state of the art
technology” said Phaneesh
Murthy, iGATE’s CEO.
www.igate.com
e-commerce
Experts find
fast growth in
online sales
Mexican firms will likely
sell 70% more goods and services
over the Internet this year,
due mostly to people buying
plane tickets and computers.
According to the study “E-commerce
2008,” done by the Mexican Internet
Association (AMIPCI), online sales in
Mexico will reach more than $1.6 billion
usd in 2008. This year’s expected brisk
growth follows a 78% surge in Mexican
e-commerce sales in 2007, when online
sales increased from $537 million usd
in 2006 to $955 million usd.
Airline tickets account for about
two-thirds of online purchases in
Mexico, followed by computer-related
products, according to the study.
14 Negocios
Photo: courtesy of intel
Chips without Salsa,
Integrated Circuits
In Guadalajara, known as the Mexican Silicon Valley in the State of Jalisco,
the country’s most important electronics industry cluster can be found.
Among the companies located there are various transnational firms that
manufacture integrated circuits and since 1990 have placed Mexico among
the top 10 chip producing countries in the world.
By Itziar Gómez Jiménez
M
any of us think that chips
are solely used in computers. The reality is that we
are surrounded by these
tiny silicon plates. They are present in our
cars, washing machines, telephones as
well as in some products we buy daily in
supermarkets.
The chip, also known as the integrated
circuit, was created by Nobel Prize winner
Jack Kilby in 1958 when he worked for Texas Instruments. In their early years, chips
for commercial use were manufactured
in Silicon Valley, a production cluster of
electronics technology located in northern
California in the United States. From there,
companies like AMD, Intel, Signetics and
National Semiconductor produced chips
for the whole world. Nevertheless, the sector demanded an optimization of resources to make more affordable products for
the public from these silicon plates. Thus,
companies producing these integrated circuits began to invest in the construction of
plants in other countries –such as Mexico,
Taiwan, Malaysia and China– which offered the best conditions to achieve the
greatest competitiveness.
Guadalajara became one of the preferred destinations for transnational companies that make electronic products.
Firms like Burroughs and Motorola were
the first to discover and to make the most
of the advantages the city offered. In the
1970s, both companies established maquiladora plants, giving birth to what 20
years later would become the Mexican
Silicon Valley.
A productive chain strengthens
If Guadalajara’s electronics cluster has one
special trait, it is the degree of integration
that its sector’s firms have achieved.
The role of the production and supply chains is fundamental for the OEMs
(Original Equipment Manufacturers) in the
electronics sector. Before, these companies manufactured all of their own prod-
ucts. Now they subcontract a large part of
the manufactu-ring process but retain the
most indispen-sable stages of their products’ fabrication and focus on what’s most
important for their firm: marketing, sales,
customer service, development of new
products and research. Therefore, they
depend much on their suppliers and strategic partners.
Octavio Parga Jiménez, president
of CADELEC, a not-for-profit electronics supply chain organization, told Electrónico magazine that Mexico has diverse
advantages that give OEMs incentives to
establish themselves in the country. They
include geographic location, a network of
free trade agreements, qualified workers
and a production chain. “It’s not only about
the internal operations of our plants and
businesses but about the entire production chain. Large corporations can take a
plant to another country but it would be
difficult for them to take our production
chain” Parga Jiménez said.
product: integrated circuits
the chip
also known as integrated
circuit was created by
Nobel Prize winner
Jack Kilby in 1958.
16 Negocios
Photo: courtesy of intel/archive
mexico’s chip
producers enjoy a big
demand for their service as well
as great business opportunities
from around the world.
The synergy among Jalisco’s government, universities, design centers and the
companies has been fundamental to the
consolidation of the electronics production chain in Guadalajara. Before the rapid
increase of investment and the growing
interest by transnational firms that wanted to make the most of the comparative
and competitive advantages of this sector, Jalisco’s government promoted the
growth of this industry and helped establish an electronics cluster in the city. This
cluster integrated OEMs, manufacturing
subcontractors (CEMs), design centers,
specialized suppliers (SSs) and universities. Currently, this cluster is made up of
more than 500 firms that employ approximately 67,800 people and that in 2007 exported more than 12 billion usd.
Local alliances,
global competition
Intel is one of the biggest OEMs in the
Guadalajara cluster that specialize in the
fa-brication of chips. The company sold
10.2 billion usd during the first quarter of
2008 and its products equip a large majority of the computers sold on the market, as
well as cell phones and radio equipment.
The firm is fed by the CEMs, SSs and
the design centers established in town.
They have such a close relationship that
sometimes it has resulted in Intel acquiring
some of these companies. For example,
as a part of its program to buy companies with growth potential, in 2000 Intel
bought the chip development firm TDCom
in Jalisco. It was the same company that
established the foundation for Intel’s Design Center in this State.
Like Intel, many other large companies
have found the right suppliers in Guadalajara for the development of their businesses.
Flextronics-Solectron of Mexico, Jabil Circuit
of Mexico, SCI/SANMINA and Mexikor are
some of the CEMs that supply OEMs with
products and services of the highest quality.
Flextronics –founded in 1969 in California’s Silicon Valley– established itself in
Jalisco in 1997. In June 2007, it merged
with one of the world’s large producers of
chips: Solectron, which also had a production plant in this area. Flextronics is a
big part of the maquiladora system as a
majority of its production is exported to the
United States for such clients as Motorola,
IBM, HP and Kodak.
“The combination of the power of SPS,
vertically integrated enclosure capabilities, engineering excellence and the geographic position of Guadalajara bordering
the lar-gest electronics market in the world
creates a compelling supply chain solution for customers,” said Marc A. Onetto,
who was Solectron’s executive vice president and is now Amazon.com’s senior vice
president of worldwide operations.
Another of the important CEMs in Mexico is Mexikor, created from an association between the Spanish company Ikor
and an investor from Guadalajara. Ikor, established in San Sebastian, Spain, specializes in the design, research, and production of electronic materials. Mexikor was
born in Guadalajara in 1998, before the
growth of the country’s electronics sector. It later became international in scope.
Mexikor produces chips for the country’s
principal OEMs, like Mabe and Turnmix,
which are dedicated to the production of
electronic appliances, and Shindler, which
produces elevators.
Jabil Circuit, a US company founded in
Detroit in 1966, is another large chip man-
product: integrated circuits
ufacturers that since 1997 has participated in Guadalajara’s cluster. The company
is dedicated to the production of electronic
spare parts and produces chips for OEMs
that serve the automotive industry, mainly
General Motors.
Mexico’s chip producers enjoy a big
demand for their services as well as great
business opportunities from around the
world. The demand is so great that even
though the main designers and manufacturers are already established in Guadalajara, many of the country’s OEMs indicated
in the last survey by CADELEC-SEIJAL
that a major increase of specialized suppliers in the fabrication of integrated circuits is needed. It seems that very soon
local production will not be enough to supply its needs. n
clockwise
A “FOUP” is used to transport the first
45nm production lot of 300mm wafers
through Fab 32, Intel’s first high-volume
45nm chip factory. A trasitor acts like a
light switch -switching on and off 300
billion times per second.
18 Negocios
Photo: archive
Keeping a Tight Rein on
Pollution from Mexico to Asia
Progress Five, a Mexican high tech company, has been an innovator and a world leader in the development
of smog and pollution detection technology that is helping the world one breath at a time.
P
rogress Five is helping the world
breathe a little easier. This international high tech corporation
focuses on designing and producing much needed hardware and software for many Mexican states’ necessary
smog-check programs. The company has
its main offices in Mexico City but it conducts business worldwide, including a recent expansion into the Asian markets.
It designs and manufactures “gas analyzers” and “smoke testers” for Mexico’s
government. The company also manufactures, supplies and designs equipment
used to check for smog, including: Digitaltachometers and Digital-interfaces. Its Radio Frequency ID, or RFID program, allows
officials, through mini transponders and
antennas, to track vehicles and identify if
they are current in their smog and pollution tests.
Products
Progress Five produces hardware and
software for the environmental protection
industry. Among these products are the
equipment and the software for Mexican
states’ SMOG-CHECK programs of vehicles. This is particularly important in Mexico City, which has regulations designed to
get rid of the city’s pollution. The company’s smog-check system specifications are
also a vital and efficient solution for small
cities or states to help them manage their
local SMOG-CHECK programs. Progress
Five is the only Mexican company with the
most advanced equipment in this area. Its
products are designed to meet international and local regulations in the area of
pollution control.
Progress Five has the most advanced,
secure and user-friendly software, making
it easy for governments and other agencies to implement it. The software has selfdiagnostic functions such as continuous
status monitoring, second-per-second
data storage and real time data analysis.
The company is also an authorized distributor for products and services sold by
Andros Technologies, a Richmond, California-based leader of NDIR gas analyzers
(instruments that measure air samples for
carbon dioxide content); Cleveland, Ohiobased Actron Inc. and Mexico City-based
Praxair, two manufacturers of specialized
gases and mixtures.
Company achievements
In 1992, Progress Five formally began researching, developing, manufacturing and
commercializing its trade marked gas analyzers and smoke testers, as well as automotive diagnostic tools. That same year,
it was running service centers for Andros
gas analyzers and for Actron products,
both for Mexico and Latin America.
By the end of 2001, stock holders expanded the company’s activities, giving it
international businesses presence under
the name Progress Five: Progressive Analyzers of Mexico.
In 2006 the company won the bid to
design and implement the SMOG-CHECK
software program and the government
server software program for the Mexican
state of Guanajuato. The company installed
both software and supplied all the equipment to the owners of the state’s 185 official test centers. The server software was
successfully installed and implemen-ted at
Guanajuato’s Ecological Institute to configure and control the state’s SMOG-CHECK
program.
In 2006 the company won another contract bid, this time in the Mexican state
of Coahuila for the equipment and software program to be used in its municipal
SMOG-CHECK program, in conjunction
with the statewide program.
The company has achieved many things
and made new business partners due to its
advanced technology and the most affordable prices on the market. Hong Kong and
Beijing are two new markets that will soon
benefit from the company’s Mexico-based
innovation and its competitive prices. n
Mexico’s partner: progress five
progress five
produces hardware and
software for the environmental
protection industry.
20 Negocios
infographic: oldemar
It Innovation Sparked
by Mexican Company
Global technology services –an industry that accounts for more than 500 billion usd of revenue
each year– have been the realm of global business titans like IBM, Hewlett-Packard or Deloitte
or they have been outsourced to such locations as India. But Mexico is making its mark in the
industry and one company in particular, Softtek, has become a leader in Latin America in
providing IT services.
By Yara Sánchez De La Barquera Vidal
L
atin America has just recently
started capitalizing on the vast
opportunities in the IT services
industry, which has typically been
dominated by companies based in India.
This had led to a new wave of global IT services providers. One of these firms is Softtek, formed more than 20 years ago when
a small group of people sharing a common
vision and goals joined forces. Their aim
was to create a company that would become a benchmark for the region in terms
of service, quality, reach and innovation.
On the surface, Softtek is similar to other
large IT service providers. It features a comprehensive portfolio of solutions, a strategy
that seeks to identify and remove errors in
its business processes, a globally competitive workforce, as well as several industry
awards. The firm has shown the special ability to learn and recover from not only economic depressions and market restrictions,
but also from sudden shifts in technology
trends or new competitive threats. Its aspirations to put Mexico and Latin America on the
map of global IT service providers seemed
far-fetched 11 years ago, when the company first ventured into the US market. But
Softtek has found success, as challen-ging
circumstances make the company learn,
evolve and thrive.
Developing talent
One of Softtek’s attributes is its focus on
developing talent. While many firms expect
talent to be readily available, Softtek takes
the time and effort to develop its own and
support it as well.
Each year, hundreds of college students along with young graduates gain
practical and real life experience through
Softtek’s “Momentum” program. Young
talent is given an opportunity to gain experience by working on real projects under the supervision of Softtek associates.
Besides “Momentum,” the company offers
a wide range of resour-ces and complementary training programs that enable its
associates to be competitive, creative and
innovative.
a unique partnership
structure and a corporate culture
that promotes employee retention.
itiITititit technology: softtek
The Road of an IT Leader
2007
Acquisition of
China’s IT UNITED
$
200
Revenue
USD Million
150
2004
Acquisition of
GE’s Ddemesis
1997
Start of
Near Shore® Services
1983
1
Softtek
is founded
2
3
100
4
50
1990
1985
Four people
join the founder
2000
First International
office (Perú)
Key learning period
Entrepreneur
Multinacional
Global
The Softtek Expansion
Global
Delivery Centres
Presence with sales
and/or operations offices
Near Shore ®
Coverage
ASIA
UK
North America
China
Spain
United States
Mexico
Puerto Rico
Europe
Costa Rica
Venezuela
Colombia
Peru Latin America
Chile
Brazil
Argentina
0
22 Negocios
Canons of action
Softtek seeks to create a rewarding work
environment in which associates are regarded as partners who share a common
culture and way of being. Its “canons of
action” are building blocks of this culture, and include such qualities as selfdetermination, commitment, enthusiasm,
perseverance and vision. These canons
of action –12 in all– transcend the firm’s
organizational life. Thus, to explain them,
Softtek writes about them in the first person, under the belief that they must be
personally adopted.
A good example of how these canons
have played an important role in Softtek’s
success is the development of its now
trademarked Near Shore service delivery
model. Near shoring refers to the process of outsourcing service activities to a
foreign country that is fairly close in distance or time zone. The company initially
focused its Near Shore service model on
serving North American customers from
Mexico.
Things were particularly challenging
during Near Shore’s initial stage. When
Blanca Treviño, president and CEO of
Softtek since 2002, and her team promot-
photo: courtesy of softtek
ed her company’s new service, clients did
not know about Mexico’s capabilities and
potential. They instead had their sights on
domestic providers or outsour-cing their
services to such distant locations as India.
Market analysts also had little to say, as no
providers offering such a service were in
place. The idea didn’t even have a name at
first. Meanwhile, offshore outsourcing was
already in place and increasing in visibility.
Softtek at first had to work hard and invest
heavily to meet the high quality requirements of services buyers. At the same
time, it had to build Mexico as a quality
provider for these types of services.
The firm learned from its success as
well as from its mistakes. Initially focused
on serving customers throughout North
America from Mexico, the Near Shore
model has proved to be a success and
the United States is now Softtek’s largest
market. It also helped shape a market that
now complements the global outsourcing
landscape and it created a new source
of jobs for graduates in Mexico and Latin
America.
The term Near Shore has now become
mainstream and is regularly used by leading analyst firms and dozens of competi-
tors to describe work performed from
nearby locations.
Near Shore leads to greater success
Near Shore paved the way for Softtek’s
accelerated growth. The company was
able to enter markets that were traditionally reserved for larger players, particularly
India, a major outsourcing hub.
In 2003, Forrester Research, a leading
IT industry analyst, highlighted the Near
Shore model as an alternative to India,
showcasing its differences, its success
stories, benefits and future potential. In
2005, Gartner Inc., an IT research firm,
identified Softtek as a “Cool Vendor” in IT
services, which brought the company attention from a larger audience.
In the past five years, the Mexican government has played an important role in
the success of the country’s Near Shore
industry through programs such as Prosoft
and Mexico IT. This led many players to
take advantage of the growing market’s
momentum.
In 2004, Softtek became the first Latin
American firm to be classified as CMM
Level 5 (Capability Maturity Model) a grade
scale to rate how an organization man-
itiit technology: softtek
ages its processes. The rating indicated
the company was operating at the highest standards as defined by the Software
Engineering Institute. CMM is a model that
provides organizations with the essential
elements of effective processes. Organizations with a maturity level of 5, the highest
grade, constantly evaluate, improve and
deploy their processes and technology.
Supporting innovators
Mexico faces a series of challenges in
terms of increasing productivity, attracting
more direct foreign investment, generating
opportunities in marginalized regions and
overco-ming higher unemployment due to
the global financial crisis. Yet, the country
is still poised for greatness. It has a young
and talented population, hard working and
resourceful individuals and plenty resources. In addition, in the last two decades,
federal government administrations have
embraced globalization and free trade.
The North American Free Trade Agreement (NAFTA), provide strong IP protection, an area of special relevance in the IT
services sector.
To seize these opportunities, Mexico
must tap into the vast global professional
services market, a territory where well-prepared entrepreneurs can succeed. These
entrepreneurs should be the organizations
and individuals willing to innovate and to
take control of their own destiny by leveraging the resources the country provides.
The challenge for Mexico today lies in
providing the support for these innovative
firms and individuals.
Gartner, Inc., in a research piece published in 2005, stated that “Softtek represents a unique combination of being a
formidable offshore service provider and
being the only non-Indian vendor to pose
serious competition.” In another report,
they state that “Softtek has a unique position of successfully building a viable
strategy around nearshore service provisioning that proves to be competitive with
an India-based offshore delivery model.”
Gartner has also listed Softtek as a “Major
North American Application-Outsourcing
Service Provider,” and included the firm
as a sample vendor in three key reports.
Finally, Softtek has been featured for two
consecutive years as the only non Indiancentric player in Gartner’s Magic Quadrant
for Offshore Application Services (2006
and 2007). n
Softtek Facts
Founded in 1982
Pioneer and leader
of the Near Shore Industry.
World class recurrent client base:
Preferred Service Provider
for several Fortune-500 companies.
Only Latin American company
included in the Gartner’s Magic report
Program, ISO 9001: 2000 Certification.
10 SAP (System Applications
Products) Awards of Excellence
and 2 ASUG Impact Awards Mature Global Delivery Model
Over 10 years of experience
in Near Shore® Services
SAP service partner in the US and
7 Latin American countries
One of the best companies to work
for in Mexico, Brazil andArgentina,
according to Forrester Research.
Top Company to Watch South
of the Border, according to neoIT
and Global Services Magazine.
24 Negocios
photos: courtesy of bea
IDEAR, a Mexican
Creation for World
Transportation
Fifteen years ago, IDEAR Electronics began marketing its BEA System, an almost
homemade invention to monitor local public transportation. Today this Mexican technology
is used in more than 20,000 public buses in Latin America. Its inventors report earnings
of more than 10 million usd a year.
By Mauricio Ferrer
H
ow many passengers travel in
public transportation each day
and where they get on and off
might seem irrelevant information to many. But those facts turn handy
when designing and planning mass transportation or when keeping under control
the revenues of these services providers.
In our digital era, the burdens of counting
passengers manually are overcome. Technology has allowed the automation of this process and made it possible to keep records
in ways almost imperceptible to passengers.
For the last 15 years, IDEAR Electronics
has been developing IT solutions for such
matter. Currently, its products are used in
about 20,000 transportation units in 94 cities
from nine Latin American countries. In 2007
alone, its sales reached 10 million usd.
The company started by selling a passenger counter, the BEA System (Electronic Automotive Binnacle) designed by
company owner Pedro Jiménez. Today,
IDEAR offers several monitoring systems
and services for buses.
Under the owner’s watch
Rigoberto Jiménez, IDEAR’s sales direc-
tor, switches his laptop on, types his user
name and password. On his screen appears a route allowing him to monitor a
public bus.
This electronic monitoring system designed by IDEAR enables clients to find out,
among other things, the unit’s speed, the
number of passengers getting on and off the
route and the average time of every trip.
By clicking the mouse on any point
along the route, Jiménez has access to all
that information. He can even look at the
bus by satellite. From his office in the city
of Zapopan –in Guadalajara’s metro area–
he can also monitor transportation units in
the southeastern state of Tabasco.
Electronic monitoring reduces accidents and financial losses for the vehicle
owner. The system sells for about 3,000
usd and is used in cities like San Jóse,
Costa Rica; San Salvador, El Salvador; Belize City; Cali, Colombia; and Lima, Peru.
Monitoring earnings
IDEAR has developed two different systems
for keeping track of fares in mass transportation units: the prepaid card and the coin
counter, a system next to the driver where
passengers deposit their bus fare.
The use of prepaid cards has become
popular around the world, including Mexico City’s Metrobus. The system is simple:
passengers buy a card and deposit as
much money as wanted. The card is then
slide through a reading device at bus stops
and permits access to board the vehicle.
IDEAR prepaid card system is being used
in three Canadian cities: St. John’s, Brantford and Kingston.
Another system, a coin counter, is used
in systems like the Pre Tren in Guadalajara.
The passenger deposits the exact fare and
boards the unit. This prevents the driver
from being distracted and reduces the risk
of accidents.
The company has also entered the bus
operation and administration business.
With experience in what it takes to achieve
quality and safety in public transportation,
IDEAR offers a management service for
transportation companies. It helps reduce
the company’s costs turning its planning
and administration more efficient. Since
2007, IDEAR has provided this service to
two mass transportation contractors in Estado de México. n
mexico’s partner: bea system
Electronic monitoring
94 cities and 9 countries in Latin
America where IDEAR is operating.
5 people started the company ,
15 years ago.
130 employees work at IDEAR.
10 million usd sales in 2007.
3 services offered: electronic monitoring,
fare control and route operation.
Electronic monitoring
by the BEA system, allows the bus owner
to know where the unit is located.
St. John’s Brantford and Kingston are
Canadian cities where IDEAR has
implemented its prepaid system.
FAre control system
in which the passenger slides a card and
fares are deducted from its balance.
26 Negocios
Photo: archive
Mexico, A New Player in the IT Game
Mexico’s burgeoning IT industry is gaining worldwide respect, thanks to governmental
support and an educated work force that is rapidly growing.
By juan antonio lozano/ yara sánchez de la barquera vidal
M
exico is becoming a major
player in the world’s multibillion-dollar
Information
Technology sector. And the
world is taking notice.
In October 2008, Mexico was listed among
the top 50 global outsourcing cities by Global
Services E-Magazine.
In a recent survey by Gartner Inc., a US
information technology research and advisory firm, Mexico was the only country in
North or South America that rated “very
good” in its “30 Leading Locations for Offshore Services” survey.
Last year, MexicoIT, a program created to
broaden the awareness of the country’s IT industry, was honored by Gartner research analysts and United Business Media for its efforts
to successfully promote national industry and
help it expand into the US market.
“This award reflects our commitment to the
IT industry in Mexico and demonstrates that
MexicoIT is achieving its goal of positioning
our country as the ideal destination for service
outsourcing and IT investments by US companies,” said Rogelio Garza, general director of
the National Chamber of Electronics, Telecommunications and Information Technologies
(Canieti), which runs MexicoIT.
Information technology, better known by
the shorter term IT, generally describes any
technology that helps produce, manipulate,
store, communicate, and/or disseminate information. The term, which first appeared in the
1970s, has its roots in World War II, when the
military and industry joined forces to develop
electronics and computers.
IT professionals perform a variety of
duties that include installing applications;
designing complex computer networks, in-
formation databases and engineering computer hardware.
IT services have been steadily increasing
all around the globe for at least 10 years,
due in part to the growing number of multinational companies operating in the market. It has become an important driver for
spending as companies are trying to use
computing resources more effectively and
better integrate investments made in hardware and software.
In 2002, the Mexican government
through the Ministry of Economy launched
Prosoft, a national program to promote the
country’s tech industry. Its goal is to increase the size of the Mexican IT industry
to 15 billion usd annually by 2013. MexicoIT
is among Prosoft’s programs.
Besides Canieti, which runs MexicoIT, some
of the other important players in Prosoft’s ef-
special report: It technology
mexico was listed
among the top 50 global
outsourcing cities by Global
Services E-Magazine.
forts are universities and other schools, industrial and services organizations, state governments as well as the federal government.
Prosoft supports a variety of activities
such as education and development of human
resources, technological innovation and development, as well as promotion and marketing.
Mexico currently has an IT work force
of about 500,000 but that figure is rapidly
growing.
There are more than 120 universities
and technical schools in Mexico that offer IT-related programs, which are producing about 65,000 new professionals each
year, the largest number of IT graduates
in Latin America, according to MexicoIT. In
the past 15 years, the number of Mexican
students enrolling in IT-related courses has
increased eightfold.
Some of the cities and states in Mexico
with large numbers of IT professionals include Mexico City, Jalisco, Nuevo León,
Baja California, Puebla, Sinaloa, Sonora
and Veracruz.
The future of Mexico’s IT industry is projected to be very bright.
The Mexican IT services industry was expected to have grown in 2008 by 11%, according to Mexico IT.
As referred in a report by Business
Monitor International, the size of the Mexican IT market is expected to grow from 10
billion usd in 2007 to around 16.9 billion
usd in 2012.
Mexican banks and financial services
companies are among some of the country’s most significant IT spenders, shelling
out cash for such things as consolidation,
competition and compliance with new international guidelines.
According to BMI, other important sectors spending big bucks include manufacturing, retail, construction and transportation.
Mexico is getting help as it continues to
boost its IT industry.
In July 2008, the World Bank approved
an 80 million usd to Mexico that will be used
to help create jobs in the IT sector by giving
companies access to more trained personnel, marketing networks and financial help.
There are several Mexican companies
who have achieved success in the IT market, including Softtek, Progress Five and
JackBe.
Thanks to the federal government’s support through the Prosoft program, as well as
help from state governments and an educated and growing work force, Mexico’s IT industry continues to expand and gain respect
in the global marketplace. n
28 Negocios
photos: courtesy of immersion games
A Very Serious Game
Thanks to entrepreneurs, promoters and governments, an area in western Mexico
is turning into an important hub for the development of interactive media that has
an international reach.
BY rené Valencia
C
ompanies usually place security measures on their employees computers to keep them
from downloading video games
that would distract them from their work.
Jorge Morales, executive director of Immersion Games Mexico, not only allows
his employees to install video games, but
encourages them to do so and even plays
with them.
Every day at 1 pm, Morales and other
20 people working in his office at the Software Center in Guadalajara stop what they
are doing and start playing a game on their
computer network for about 30 minutes
before taking their lunch breaks.
Gaming is his business, but the company is no game. Morales built his teenage
dream video game company after he was
captivated by The Legend of Zelda, a successful adventure game created by Nintendo in the 1980s. His company is now
part of an industry that globally generates
50 billion usd a year.
Lucrative market
This attractive market, part of the broader
concept of interactive media, grabbed the
attention of the tech industry, which has a
big presence in the state of Jalisco.
“Three years ago, while trying to support
the IT industry, we noticed there was a lot of
talent in these small companies in Mexico.
People were creating such things as flash
video games and special effects for movies.
And no one was paying attention. No one
was seeing them,” said Ricardo Gómez,
president of the western chapter of the National Chamber of Electronic Industry and
Information Technology (Canieti).
It was then that with the help of the
state and federal governments, as well as
some universities, they created a strategic
plan to develop the interactive media sector in Jalisco. The first step was getting to
know those involved in this market, which
resulted in the creation in 2006 of an annual expo called Creanimex.
“The main goal is to bring them together so they can get to know each other
and at the same time bring in experts from
all over the world to provide training in different niches, from video games to animation and special effects,” said Gómez.
During the third edition of Creanimex
–which took place in October 2008– about
50 experts from all over the world took
part in the event, held in the convention
center Expo Guadalajara. “Everyone from
Oscar winners to executive producers of
international companies have attended,”
he said.
according to the
State Council of Science
and Technology in Jalisco
(Coecytjal), sales are about 30
million usd each year.
Technology: video games
30 Negocios
infographic: Oldemar photo: courtesy of immersion games
The size of the game
50 billion
USD
Annual sales of video
games around the world
600 million USD
Annual sales of
video games in Mexico
30 million
USD
Value of annual production
of video games in Mexico
40 million pesos
(more than 3 million USD)
Government funding for
interactive media in Jalisco
55.9 million pesos
(about 4.5 million USD)
Government investment
in the Digital Arts
and Interactive Media
Park in Chapala
10 million
USD
Value of annual production
of video games in Jalisco
10 hectares
Size of the Digital
Arts and Interactive
Media Park in Chapala
Sources: Canieti, Coecytjal and International Development Group
Taking off
It was Creanimex that awakened Jorge Morales’ creative yearnings from hibernation.
“Halfway through college I started a business
with two friends. We had the idea of starting a
studio to develop video games. At that point
we lacked knowledge and a lot of money, so
we focused instead on the Web, interactive
activities and 3D,” Morales commented. “In
2006 we were invited to take part in Creanimex. We heard its purpose was to promote
the development of video games, launch the
industry in Mexico and we got interested.”
Taking part in Creanimex helped them
become acquainted with the Colombian
studios of Immersion Games. “They already had a well developed business and
we had ours. We started working as an
independent studio for Immersion.” However, Morales initial partners did not want
to take part in the new enterprise and they
parted ways. Morales then partnered with
the Colombian company.
“We decided to keep the name Immersion
because they already had something that
was established. Immersion México officially
opened in October 2007,” said Morales.
That year they developed a game -Cellfactor: Revolution- to launch the graphic
card Ageia PhysX. It was a free PC game
that has been downloaded a million times.
Ageia PhysX was sold to Nvidia in 2008.
Later on, the company put out Monster
Madness for Xbox 360 and PC, and they are
starting off 2009 by selling to the public CellFactor: Psychokinetic Wars for Xbox 360.
Immersion México is currently working on
developing a game designed for the Latino
market. “This is the first game whose target
is Latin America and the Hispanic market in
the United States” asserted Morales.
Mexican players
Although there is no data on the national
video game industry, Morales, who has
been a promoter and is member of the
Mexican board in the International Game
Developers Association (IGDA), has a general idea of the size of the phenomenon.
“I think there are about 30 companies, but
some of them are in an initial state of development. IGDA has registered 13 studios that are
doing more professional work,” he said.
Most of those companies make games for
cell phones, Web pages and applications for
product launching. Most of them are in Mexico
City. Immersion is based in Guadalajara while
CGBot is in Monterrey and Gameloft, the big-
*Projections for 2008
gest in Mexico, is located in the northern state
of Baja California. There are also some studios
in Aguascalientes and Querétaro.
Only three companies develop games
for PCs and consoles: Immersion, Dimtv in
Mexico City and CGBot, which only focuses
on the digital art while the other two create
the whole game.
According to the State Council of
Science and Technology in Jalisco (Coecytjal), sales are about 30 million usd each
year. A third of it is generated in Jalisco. The
National Chamber of Electronic Industry and
Information Technology calculates sales for
the video game industry in Jalisco –which
has about 20 established developers– at 10
to 15 million usd a year.
Competitive Advantages
When compared to other countries with a
video game industry, Mexico has interesting and competitive advantages.
“We work with Americans and Canadians, who have both worked with Indians
and Chinese. They say working with us is
beautiful because we are all basically working at the same time” said Morales.
Besides its proximity to one of the biggest
IT markets, there are other factors that make
Technology: video games
every day at 1 pm
Morales and other
20 people working in his
office, stop what their doing
and start playing a game
for about 30 minutes.
Mexico attractive: specialized labor and talent.
“Immersion Games, being one of the
pioneers in Mexico, has great talents.
There are some really good people in the
studio” Morales affirmed.
“We are massively training people” said
Ricardo Gómez, from Canieti. As an example, for Batallón 52, a project of animated
short films that will be shown during the Bicentennial Anniversary of the Mexican Revolution, Canieti trained 140 people: animators,
voice talents, musicians and cartoonists.
Schools and universities in the whole
country have also climbed onboard, offering
programs on interactive media. These institutions include ITESM (Instituto Tecnológico
de Estudios Superiores de Monterrey, UIA
(Universidad Iberoamericana), UNIVA (Universidad del Valle de Atemajac), ITESO (Instituto Tecnológico de Estudios Superiores
de Occidente), Universidad de Guadalajara,
Universidad de Artes Digitales and 3dmx.
“The first generation of students hasn’t
graduated but they soon will. In the meantime, kids fresh out of college are being
trained by Canieti as well as by the federal and local government. One thousand
people have taken short-term courses in
multimedia,” said Gómez.
Fun park!
The cherry that will top Jalisco’s efforts to
promote interactive media will be a multimedia park in Chapala.
This is a unique model in Latin America
and it plans to promote the development
of new media companies with investments
from all over the world. “It is an investment
of 55.9 million pesos (about 4 million usd) in
a 10-hectare piece of land” said Margarita
Solís, director of the Jalisco Institute for
Information Technologies, and the project
leader.
The first stage of the park should be
ready by July 2009. “We are buying equipment such as computers, servers, digital
drawing tablets, hard drives. There will
also be a digital recording studio for green
screen and special visual effects” said Gómez, also a promoter of the project.
Any company or person will be able to
rent the studios and equipment. The equipment will not be the companies’ property,
but will be owned by the park and will be
rented at affordable prices to promote the
industry’s development.
Even though fun and entertainment is the
final goal of this industry, this new endeavor in
western Mexico is also serious business. n
The size of the industry
50 billion usd - Annual sales
of video games around the world
600 million usd - Annual sales
of video games in Mexico
30 million usd - Value of annual
production of video games in Mexico
10 million usd - Value of annual
production of video games in Jalisco
3 million usd - Government funding
for interactive media in Jalisco
4.5 million usd - Government
investment in the Digital Arts
and Interactive Media Park
in Chapala
10 hectares - Size of the Digital
Arts and Interactive Media Park
in Chapala
Sources: Canieti, Coecytjal and International
Development Group* Projections for 2008
32 Negocios
photos: courtesy of q-400
cover feature: aerospace industry
Mexico’s Aerospace
Industry Rising thanks to Education
Education and training are the keys to the development of Mexico’s burgeoning
aerospace industry.
By Carlos Beltrán Rojero
34 Negocios
photo: courtesy of bombardier
01 the hangar of Bombardier in Querétaro.
02 Amphibious also manufactured
by Bombardier.
03 luxury interior of the LearJet.
01
02
he world’s aerospace industry,
like other businesses, is facing
a drop in revenues and higher
costs. Moving operations to
countries that offer lower labor costs is an
option many in the industry are considering. However, technical skills, industry
regulations and military contracts make
it difficult for many aerospace companies
to relocate their operations from the US,
Canada or Europe. But Mexico, with its
low costs and the drive to further educate an already well-trained work force, is
becoming a viable place for many in the
aerospace industry to relocate their production facilities. North of Mexico City, the
growing city of Querétaro is becoming a
key player in this effort.
bardier, the world’s third largest civil aircraft manufacturer, sees more potential in
the country.
Bombardier believes Mexico’s aerospace industry can develop and grow because of three key factors: infrastructure
for a demanding industry; improved international aviation regulation; and a national
education program for the industry.
Bombardier is investing 200 million usd
in its new plant, where it is manufacturing electrical harnesses, structural aircraft
components and composite fuselages for
some of its new state-of-the-art aircraft.
Their investment is attracting other major suppliers to Querétaro, as well as to
other regions such as the northern states
of Baja California and Chihuahua. This is
helping build up a large infrastructure for
the industry.
In 2004, Mexico’s industry entered into
a certification program with the US, the Bilateral Aviation Safety Agreement (BASA).
It allows for the production of aerospace
components that can be sold on the international market.
T
The Bombardier – Queretaro alliance
Mexico’s aerospace industry has about 125
companies, with most of them performing
low skill jobs. The newest to fly in is Bombardier, which has landed in Querétaro.
But while most of these companies in
Mexico tend to offer low skill jobs, Bom-
03
Around the World
Mexican fleet has 7,200
aircraft: 1,400 commercial,
5,300 private and 435 official.
Expanding market in
helicopters and
executive jets.
84 airports
(55 international)
All airports are operated
by private companies
Mexico City airport has
the largest operation.
Others important airports are:
Toluca, Guadalajara, Monterrey
and Tijuana.
The number of passengers
in Mexican airports have
a yearly growth of 6 %.
Source: SCT /ASA cover feature: aerospace industry
three key factors
1) Infrastructure for a demanding
industry; 2) Improved international
aviation regulation; 3) A national
education program for the industry
36 Negocios
photos: courtesy of bombardier/q-400
‘‘67 Aerospace
Companies, 10,000
Workers.’’
While the education and training of
workers involves the long term development of human capital, local and federal
governments are strongly committed to
making this happen as soon as possible.
An Aerospace Education Hub
The learning curve for producing aircraft parts
is long and expensive, and manufacturing success depends largely on the quality of the work
force. While Mexico already has many welltrained workers, particularly in the automotive
industry, there have been no training programs
focused on the aerospace industry. But Bombardier is doing its part to change that.
An agreement between the Canadian
and the Mexican governments has created
a partnership between Montréal Aerospace
Trade School (EMAM) and the Querétaro
Technical University (UTEQ). This partnership brought together EMAM’s 30 years of
experience and UTEQ’s technical expertise,
resulting in the training of the first 1,000 technicians for Bombardier facilities in Mexico.
This program is known as the Fast Track
Training Program. It was developed for Bombardier by UTEQ and it aims to train workers
in electrical and structural assemblies during
a 16-week program (12 weeks of schooling,
4 weeks on the job training) in its first stage.
Based on a school-factory concept, the
training quickly provides knowledge and experience related to the manufacture of major
parts rather than small sub-assemblies.
This partnership worked so well that Bom-
bardier moved up by two years its training
program in Mexico. An aerospace school, the
National Aeronautic College of Querétaro, is
set to be launched in the next few years.
In the past, aircraft parts manufacturers took advantage of the location and
the Mexican work force’s technical knowledge, developed by different industries
such as electronics or automotive. But
Querétaro’s alliance with Bombardier is
developing a long term education program
for advanced manufacturing processes
that meet international standards. Moreover, this alliance is looking to develop
the region as an aerospace cluster with
workers that can design, manufacture and
maintain complex aircraft components.
Future challenges
The Bombardier partnership is key if Mexico’s aerospace industry is to succeed.
However, other companies such as Cessna, Eaton, Goodrich and GE also have
operations in Mexico, a sign that others
recognize business conditions are right for
this success.
There is huge potential for growth in an
industry that has more than 22 billion usd
in aircraft sales and is not expected to be
immediately affected by the current worldwide economic crisis.
The next steps in the Mexican aerospace
industry’s development include: manufacturing engine parts in the cluster; developing
complete maintenance and repair facilities in
different locations; and having sufficient critical mass to build a complete aircraft.
Education and training are critical for
the success of this effort. Thus, Mexico’s
best universities will have to take an active role in this industry. UTEQ has paved
the way, but substantial contributions are
needed from others. The UNAM (Universidad Nacional Autónoma de México), IPN
(Instituto Politécnico Nacional) and the
ITESM (Instituto Tecnológico y de Estudios
Superiores de Monterrey must become
key players in consolidating this business
in Mexico.
The aerospace industry can be a sustainable business model for Mexico and all
the factors for its success are there. Key
players such as Bombardier are helping its
development, needed infrastructure is in
place or being created and successful education and training programs are enhancing an already skilled work force. Mexico’s
aerospace industry is ready to take off. And
its next destination is: success.
Bombardier manufactures electrical
harnesses, structural aircraft components
and composite fuselages for airplanes in
high demand within the commercial and
business airline industry.
Bombardier Q400, CRJ 200 and the
Global Express Aircraft (in order with the
pictures) can fit from eight to 50 passengers. The CRJ 200 is a favorite of regional
airlines because of its high efficiency and
low cost. n
cover feature: aerospace industry
based on
a school-factory concept, the
training quickly provides knowledge
and experience related to the
manufacture of major parts rather
than small sub-assemblies
Advantages of Manufacturing in Mexico Mexico has competitive advantages in
metalmecanic and electrical sectors,
among others.
Lower operation cost.
Less expensive labor cost.
Highly qualified workers (65,000 new
engineering majors a year).
Political and economic stability.
Proximity to US market.
NAFTA, no export and import
duties Protecction of Intelectual
Property Rights. Fabrication Capacity
US companies working in Mexico in
the last 3 years have found opportunities
in the following components: Turbines:
Rings machinning, valves, electronics,
filters, buckets, gears, shafts, air and fuel
cooling lines and turbine maintenance.
Components of aircraft dashboards:
Harnesses, printed circuit boards and
cabinets.
Other components:
Jigs and fixtures, and special
heat treatments.
Fuselage:
Special paints, seats,
carpets and other parts. Manufacturing processes: Forging, die cast, machining
with 4 and 5 axels, stamping
and plastic injection.
Source: Ministry of Economy 38 Negocios
IT Industry:
Where to invest
Mexico offers the IT industry (including IT outsourcing) exceptional
conditions and opportunities for doing business in the country.
With an advantageous geographic location right next to world’s
largest IT market, an abundant and qualified labor force and strong
government support, the country is an ideal destination for global
software, IT services and Business Process Outsourcing (BPO) firms.
Mexico has 23 regional IT clusters in 19 states, which group 33% of IT’s
organizations. The decision of where to conduct business in Mexico
depends on each firm’s strategy. Some of the Mexican states offering
special opportunities for IT investment are: Jalisco, estado de México,
Nuevo Léon, Querétaro, Sinaloa and Sonora.
Estado de México
Main cities: Toluca (capital), Naucalpan and
Tlalnepantla.
Total population: 14,301,996
Economically active population: 6,153,272
Total employed population: 5,838,312
Total unemployed population: 314,960
Road and highway network: 14,188 km
Rail network: 1,284 km
International airports: 1
Higher education: 351 institutions. There
are 172 public and private universities, with
72 offering IT related careers.
Graduates from IT-related programs:
5,200 each year.
IT infrastructure: Fiber optic rings infrastructure, high bandwidth communications
and Multi-Protocol Label Switching (MPLS),
several providers.
IT industry: The IT companies of the Estado de México offer a large variety of services
including consulting, data centers, infrastructure management, and application development and testing. Industry solutions focus on
manufacturing and technology niches such
as automotive, biotechnology, pharmaceutical, security and computer ai- ded design
and other specialized services.
BPO services -including contact centers,
data mining, help desk, market analysis F&A
services and loan application processing- are
also offered by several service providers.
The government of the Estado de México
strongly supports foreign investment in IT
and offers a set of incentives and tax exemp-
tions for investors, as well as cash grants as
part of the PROSOFT program.
www.edomexico.gob.mx
Sonora
Main cities: Hermosillo (capital), Ciudad
Obregón, Nogales.
Total population: 2,448,138
Economically active population: 1,007,610
Total employed population: 972,346
Total unemployed population: 35,264
Road and highway network: 35,154 km
Rail network: 2,014 km
Ports: 2
International airports: 3
Domestic airports: 5
Higher education: 181 institutions. There
are 17 universities, including 2 campuses of
ITESM (Instituto Tecnológico y de Estudios
Superiores de Monterrey).
Graduates from IT-related programs: 1,000
per year.
IT infrastructure: Fiber optic rings infrastructure, high bandwidth communications
and MPLS, several providers.
IT industry: The industry in Sonora has
been oriented to automotive, aerospace and
electric/electronic enterprises and is now
quickly moving into Information Technology.
In November 2007, a fully operational
technology park designed specifically for
the IT Industry opened. The second phase
is already under development. The state has
two other technology parks in the planning
stages.
The government of Sonora is supporting foreign investment in IT through its
“Softlanding” program. Sonora has custom
made, tax and non-tax built-to-suit packages that provide incentives depending on the
purpose of the investment, job creation and
location within the state. The state also participates in PROSOFT and provides cash
grants to investors in IT technology.
www.economiasonora.gob.mx
Sinaloa
Main Cities: Culiacán (capital), Mazatlán
and Los Mochis.
Total population: 2,639,442
Economically active population: 1,132,955
Total employed population: 1,102,122
Total unemployed population: 30,833
Road and highway network: 16,697 km
Rail network: 1,195 km
Ports: 2
International airports: 3
Domestic airports: 1
Higher education: 48 universities.
Graduates from IT-related programs: 3,000
per year.
IT infrastructure: Extensive fiber optic
IP infrastructure, high bandwidth Internet,
VoIP enabled.
IT industry: The technology sector of Sinaloa is growing at a yearly rate of 300%,
with the focus on contact centers and nearshoring of application development services.
The state has one of the largest IT clusters in Mexico, gathering 55 companies of an
business tips
advanced IT level. Many of the IT companies
in Sinaloa are working in state supported IT
technology clusters and have extensive experience in developing applications for health
care organizations, agriculture related industries, hotels, pharmacies, gas stations, car
dealerships and educational institutions.
The state is conveniently located very
close to the US and it is in the Central
Standard time zone. Daily flights depart
from Culiacán to Los Angeles, Houston,
Phoenix, Seattle and Denver, with an average flight time of two hours.
The state government offers incentives for
investors in IT technology besides the cash
grants provided by the PROSOFT program.
www.investsinaloa.org.mx
Querétaro
Main Cities: Santiago de Querétaro (capital), San Juan del Río and Corregidora.
Total population: 1,639,629
Economically active population: 667,425
Total employed population: 642,762
Total unemployed population: 24,663
Road and highway network: 3,205 km
Rail network: 511 km
International airports: 1
Higher education: 34 institutions.
Graduates from IT-related programs: 1,500
per year.
IT infrastructure: Fiber optic rings infrastructure, high bandwidth communications
and MPLS, several providers.
IT industry: The IT companies of Querétaro offer a large variety of services including embedded software development, IT
consulting, data centers, infrastructure management and application development and
testing. Industry solutions focus on manufacturing and technology niches such as
biometrics, security, computer aided design
and other specialized services. BPO services
are also offered by several service providers.
Investors can leverage Querétaro’s central geographic location and its proximity to
Mexico City and the US.
Querétaro has a large number of already
established multinational companies (in
the aerospace, automotive and consumer
goods cluster) and the state’s government
is fostering foreign investment in IT, offering
investors a set of incentives, cost reductions
and tax exemptions, as well as cash grants
that are part of the PROSOFT program.
www.queretaro.gob.mx
Nuevo León
Main Cities: Monterrey (capital), Guadalupe, and Apodaca
Total population: 4,301,388
Economically active population: 1,986,589
Total employed population: 1,895,444
Total unemployed population: 91,145
Road and highway network: 7,361 km
Rail network: 1,092 km
International airports: 1
Domestic airports: 1
Higher education: 76 institutions.
Graduates from IT-related programs: 3,000
per year.
IT infrastructure: Advanced high bandwidth, secure communication network,
government supported research and
technology parks.
IT industry: Nuevo León is the home of
some of the largest Mexican IT services
companies. Recently it has become one
of the preferred locations for companies
that offer nearshore IT services and many
large Indian IT service providers have established their delivery centers in the state.
The IT services offered by local companies include custom software development
and deployment, IT consulting, ITO and BPO
services, development of video games and
support for SAP and Oracle Solutions. The
state borders the US. Monterrey was ranked
94th worldwide and 5th in Latin America in
terms of quality of life according to Mercer
Human Resource Consulting (2006), and
was ranked 2nd in 2005 and 4th in 2006,
according to America Economia.
The government of the state offers incentives and tax exemptions to investors as well
as cash grants provided by PROSOFT.
www.nl.gob.mx
Jalisco
Main Cities: Guadalajara (capital), Chapala
and Puerto Vallarta
Total population: 6,865,147
Economically active population: 2,998,292
Total employed population: 2,889,481
Total unemployed population: 108,811
Road and highway network: 10,334 km
Rail network: 1,109 km
Ports: 1
International airports: 2
Higher education: 157 institutions. Guadalajara is a very important hub for universities
and educational centers that have national
and worldwide prestige, such as Universidad Panamericana, ITESO, Universidad de
Guadalajara, ITESM and the Universidad
Autónoma de Guadalajara.
Graduates from IT-related programs:
18,000 per year.
IT infrastructure: Jalisco supports the
creation and acceleration of IT Mexican
companies and has developed a robust
infrastructure for global companies to conduct business in and from the state.
The state has several technology centers
such as the Software Center, the Software
and Integrated IT Services Park, both in Guadalajara, and the Media Park in Chapala.
IT industry: Guadalajara is known as the
Mexican Silicon Valley. Several international
companies are offering advanced IT services
including application design, development
and testing, embedded software for the automotive industry, wireless applications, printers and medical devices and multimedia.
Jalisco has many leading IT and BPO
companies due to its convenient geographic
location, qualified IT labor pool and excellent
infrastructure.
The state government provides strong
support for the IT industry with clear strategies that help establish new companies.
Guadalajara is the main software producer in the country and is a leading producer of electronic and digital components.
Such high tech companies as General Electric, IBM, Intel, Hitachi, Hewlett-Packard,
Siemens, Flextronics and Solectron have
facilities in the city or its suburbs. The city is
home to eight of the world’s top 10 contract
electronic manufacturers including Solectron, Flextronics and SCI Systems. It is also
home to original equipment manufacturers
including IBM, ON Semiconductor, HewlettPackard and Kodak.
fDi magazine ranked Guadalajara as the
top major Mexican city and designated it
as having the second strongest economic
potential of any major North American city
behind Chicago. fDi magazine also ranked it
as the most business friendly Latin American
city in 2007.
seproe.jalisco.gob.mx
40 Negocios
Negocios figures
THE MEXICAN IT
INDUSTRY BY THE NUMBERS
ACCORDING TO A REPORT
BY BUSINESS MONITOR
INTERNATIONAL, THE SIZE
OF THE MEXICAN IT
MARKET IS EXPECTED TO
GROW FROM 10 BILLION USD
IN 2007 TO AROUND 16.9
BILLION USD BY 2012.
THERE ARE MORE THAN 120
UNIVERSITIES AND TECHNICAL
SCHOOLS IN MEXICO THAT
OFFER IT-RELATED PROGRAMS.
THEY ARE PRODUCING
ABOUT 65,000 NEW
PROFESSIONALS EACH YEAR.
PROSOFT IS A NATIONAL PROGRAM
TO PROMOTE THE COUNTRY'S TECH
INDUSTRY THAT WAS LAUNCHED BY
THE MINISTRY OF ECONOMY. ITS GOAL
IS TO INCREASE THE SIZE OF THE
MEXICAN IT INDUSTRY TO 15 BILLION
USD ANNUALLY BY 2013.
IT Market
2007
(MUSD)
Hardware
$7,210
Annual
Growth
Software
MEXICO PRODUCES
MORE THAN 110,000
ENGINEERS EACH
YEAR, WITH AN
INCREASING
PERCENTAGE IN
SOFTWARE,
COMPUTER SCIENCES
AND RELATED FIELDS.
15%
2008
(MUSD)
$8,407
Annual
Growth
$1,072
15%
$1,234
15%
$3,112
17%
$3,595
16%
$25,624
7%
$27,012
5%
Supplies***
$938
13%
$1,032
10%
Total ICT
$37,956
10%
$41,297
9%
Total IT
$12,332
15%
$14,268
16%
IT Services**
Telecom Services*
infographic: oldemar
MEXICO'S SOFTWARE
DEVELOPMENT INDUSTRY
NOW PRODUCES $520 MILLION
USD, EMPLOYS NEARLY 20,000
PEOPLE AND IS GROWING
AT A RATE OF 8% A YEAR,
ACCORDING TO
PRICEWATERHOUSECOOPERS.
MEXICO CURRENTLY
HAS AN IT WORK
FORCE OF ABOUT
500,000.
* Does not
include cell phones.
** Includes operators' private links: net construction
spent for services are included in Telecom Services.
17%
***Supplies present and adjustment, before
it included some magnetic storage supplies.
Source: www.mexico-it.com
The lifestyle
T h e Complete Guide of the Mexican Way of L i fe .
Entertainment
Photo: Courtesy of Shock Bukara
mexican beats
go electric
Electronic culture has
blossomed and it continues
to thrive and grow
R
p. 44
Alas
Foundation
Wings for
Children
p. 62
Design
Interactive Poetics
Siete I Media
INTERACTIVE TECHNOLOGIESp. 42
Destination
Breathtaking Resorts
Unforgettable experiences
p. 54
Report
Business trips
urban pleasures
p. 58
42 Negocios i The Lifestyle
photos: courtesy of siete I media
Interactive Poetics
siete|media is changing the way information is presented, making it
an interactive experience that goes far beyond the keyboard or the
computer screen
By Mauricio Zabalgoitia
F
firm has established that the communicaor decades now, we have found
chnology development market within the area
tion of information can no longer be resourselves in the so-called inforof information exchange and interactivity.
tricted by keyboards and monitors. It is all
mation era. In the contemporary
In only two years, this company has
part of an incessant search for complete
world, information has become
demonstrated to the world what it means
interactivity.
one of the most prized goods.
siete | media has developed
Each day we produce it, convarious screens and projects for
sume it, exchange it and buy it.
The way in which information is
the National Museum of Art in
The way in which informagiven out and consumed is an area that
Mexico City; it has also taken part
tion is given out and consumed
is an area that has transformed
has transformed with the help of creativity in the conceptual creation of interactive experiences in the Mexico
with the help of creativity and
and new technologies.
pavilion at 2008 Zaragoza Expo.
new technologies into meAlso in Spain, the company joithods, practices and means
ned the interactive program prethat until recently would have
sented at the celebration of Mexiseemed like something out of
co City’s Bicentennial in Madrid.
science fiction.
to present and transmit information in an
All these reasons make siete | media the
Within such an interesting framework,
intelligent, fun, creative way. Users at exhionly national company exclusively created
which unites forms of production and cultubitions, fairs, and museums in Mexico and
for developing comprehensive interactive
ral communication with technological deveother countries have been part of a unique
experiences designed specifically to comlopment, the work of siete | media takes its
sharing of knowledge through the interacmunicate the very message clients intend
place. It is a Mexican company that in record
tive technology designed by siete|media.
to express. n
time has won a prominent position in the teThrough highly defined concepts, this
design: siete I media
01
02
01 The interactivity walls designed
by siete I media.
02 siete I media has developed various
screens projects for the National Museum
of Art in Mexico City.
03 The muac website developed by siete I media.
03
44 Negocios i The Lifestyle
photos: courtesy of nopal beat
Mexican Beats
Go Electric
From raves organized in the outskirts of major cities to the
creation of Acid Cabaret sounds, Mexico’s electronic culture
has blossomed and it continues to thrive and grow
By Mauricio Zabalgoitia
E
lectronic music has transformed
the new millennium. Young generations have grown up with
electronic beats and rhythms.
Moreover, music coming out of synthesizers and computers is an inevitable part of
daily life: from the songs on the radio to the
dance floors and even the many forms of
advertising reaching thousands of people
continuously.
Although the history of music created
with synthesizers has the same origins
–from Jean Michel Jarre and Pink Floyd’s
laser light shows to the first sounds manifested by Kraftwerk– Mexico has a distinguished place in the creation of electronic
atmospheres and universes. Such creations
have taken unique and capricious forms as
Mexicans reinterpret and synthesize them
through their own particular vision.
Over the past few years, a series of events
have defined the history of electronic culture
in Mexico including: the first large rave organized in the outskirts of Mexico City; similar
parties in Guadalajara put together by such
young promoters as Luis Flores and festivals
such as Orbesonora 2008 organized in San
Luis Potosí.
Blends and mixtures are in fact the
essence of electronic music, which has
passed through multiple genres and subgenres, from deep house to Detroit techno;
from mid 80’s synthesized beats to what in
Mexico is called psytrance.
Going back in sound!
During the 1980s, a decade of New Wave
and the wasted New Romantic movement,
bands like Ultravox, Kraftwerk, New Order and Front 242 transformed the idea
of what it meant to create music chords
and themes. Their records were sold in
Mexico City’s legendary shops such as
“Sub-pop” “Issac’s Imported Records” and
“Prosound”; this was also the era of plastic
futuristic clothing and, of course, DJs like
Calambrín, Martín Parra, Tini-tun, Chrysler
and so on.
Blends and mixture
are in fact the essence
of electronic music, which
has passed through multiple
genres and subgenres.
entertainment: electronic beats
46 Negocios i The Lifestyle
photos: courtesy of nopal beat/ nortec/shock bukara
01 colaboration between Nopal Beat and
The Hoola Hoop Sessions.
02 The creative minds of Shock Bukara,
Daniel Martínez and Manuel Amézquita.
03 nortec collective, Ramón Amezcua
and Pepe Mogt.
01
The musical movement also burgeoned
in northern Mexico, particularly in Tijuana,
a city that has become a truth creative
laboratory that gave birth to Nortec a bold
sound band that took everyone by surprise
while mixing electrónica with traditional
northern Mexican music such as banda
sinaloense and tambora. Its genuine music
has traveled all around the world.
Mexico City based DJs like Zenith, Kermit, Vee-Line, Toy, Marvin, Plastik, Lucky,
Yodo and Azzid have created a vital and
important scene that has survived among
such massive festivals as Technogeist, Love
Parade and Mayday, which have gained an
international flavor and attendance. In cities
such as Guadalajara unique sounds, halfway between being traditional and breaking
tradition, between local and global, a new
solid electronic scene has merged: a culture that has become an export product.
02
03
Nopal Beat Records and Shock Bukara are two good examples of the current rea-lity and activity of the beat sonoro
culture. Nopal Beat is a successful record
that compounds the best electronic music
from western Mexico. Its collection “Acid
Cabaret” a joyful Guadalajara sound of
“Latin identity” that blends Mexican-Latino
sounds with electronic beats, is a classic.
It documents a history being written on
turntables and dance floors.
As for Shock Bukara, it has been
elevated as one of the best examples of
this electronic genre. It’s been inspired by
nostalgia for the sounds of ancient dance
saloons from the 1950s. It emulates the
cadence, rhythm and the beat across the
electronic language, mixing it with techhouse and configuring a peculiar type of
music that can be touched, smelled and
tasted.
entertainment: electronic beats
SHOCK BUKARA
along with Nopal Beat are
two good examples of the
current reality and activity of
the best sonoro culture.
48 Negocios i The Lifestyle
photo: courtesy of julia cervantes/archive
Nortec fuses
electronic with popular local genres
finding a unique sound that has
become a musical emblem
for an entire generation
Tijuana Sound Machine:
Nortec’s New Adventure
A decade after creating the sound that
defined the border, Nortec has decided to
undergo a metamorphosis. Tijuana Sound
Machine, a partnership between Bostich
and Fussible, is the result of this transformation and another glorious example of
the norteño panorama. Nortec fuses electronic with popular local genres, finding a
unique sound that has become a musical emblem for an entire generation. It is
danceable and 100% Mexican music. With
Tijuana Sound Machine, Nortec continues
to surprise everyone through experimentation with the latest technologies, the definitive consolidation of its rhythm and the
use of the emotional density characteristic
of Bostich and Fussible. Tijuana Sound
Machine is more than just a new album.
It is a new metropolis, a city made of pure
sound.
Since the appearance of this latest
work, Nortec has had more than 75 concert appearances around the world in cities in Europe, North and South America
and Mexico. They also appeared in locations where Mexican electrónica had never
been heard, such as Turkey. In Germany,
France, Sweden and Norway, Nortec is
considered to be a contemporary classic.
As if this wasn’t enough, Tijuana Sound
Machine has been nominated for a Grammy Award for Best Latin Rock/Alternative
Album.
Dann Kalter, Don Moy, La Krasso, Memoryman, M.E.N.T.A.L. Metrika, Pau, Puma, Rebolledo, Sondera, Tatanka, Tato Cado, Toot
N´Kman, Uriel.
www.imecamusic.com
www.norteccollective.com
A project that is on the cutting edge of pop
and experimental music.
Pop, House, Techno, Drum And Bass,
Disco. www.sussie4.com
Imeca music IMECABOOKINGS reinvents itself after long
journeys through the country’s electronic
scene. In 2008, it gathered the talent of
creators with important things to express...
Alexis, Chinix, Chuck Pee, Damian Romero,
Abolipop Collective
In charge of around five projects in different
parts of the country.
Drum and Bass, Experimental,Cliks and
Cuts, Pop, Rock. www.abolipop.com
Sussie 4
LICUADORA RECORDS
New record label that funds Esteban De
entertainment: electronic beats
between local and globe
Guadalajara’s unique sounds
emerged as a solid electronic
scene: a culture that has
become an export product.
la Monja, Homero González and Christian Barragán that hosts such projects as
MATA, Esteban de la Monja Casar, ION,
WESTEMP, PISCIS, TINNITUNS.The Hoola Hoop Sessions, León Cesar, The 666
noise Films.
www.licuadorarecords.com
MATA
León Christian Barragán Torres
www.densidadneutral.com
www.myspace.com/matasounds
From his base in Guadalajara, he puts his
efforts into the friction that sound creates
in space. He has a graduate degree in architecture from the University of Guadalajara (U de G) and is currently writing his
Ph.D. thesis for the Polytechnic University
of Catalunya (UPC). The title of his dissertation is “Architecture: Articulation and
Artifice,” and it’s about architectural projects that are based on the relationships
between space, matter and sound.
In 2008, MATA released Lunar
(L001CDR), and PURE ELECTRIC SHIT!
(L003DVDR) with his collective project
ION. He will release his next record, Intemperie, on Licuadora Records, in 2009.
He also works with Esteban De la Monja
Casar in the duo León Casar. Recently, he
put together a new band with Sinclair Castro from Asunción, and Eduardo Martínez
from The Copy Violators. Esteban De la Monja Casar
www.delamonja.com
www.youtube.com/emonja
www.myspace.com/gatonoise
He was born in Zapopan, where he lives
and works. He has a graduate degree in
communications and holds several postgraduate degrees in multimedia, art, and
digital creation he obtained both in his
homeland and abroad. He splits his time
between teaching at a local audiovisual
arts school, visual art creation and noise
music production. He has released his
music on Hacked Tapes (MX), Amp Recs
(MX), Licuadora Records (MX) and Fag
Tapes (US). He also has many duo projects: León Casar, Tinnitus, The Hoola
Hoop Sessions and The 666 Noise Films,
all with Licuadora Records. His releases
on our label are Telefonema (L002CDR),
Lluvia (L006CDR) and one track on Licuadora’s Vol. 1 (L004CD).
De la Monja bases his artistic endeavors
on obsession. He is manic for processes
and how the electronic media that has surround him since childhood is built. He loses
sleep thinking about how things work, how
a signal is related to another, how bits are
a part of content and meaning, thinking
about sound, literature or visual media. And
above all, he’s interested in the creation of
systems and structures that unveil, trans-
50 Negocios i The Lifestyle
photo: courtesy of shock bukara
At the moment
Shock Bukara is in the
studio, working on a
new project.
late and interpret all these relationships to
create pieces where the aesthetic and the
conceptual take all the weight. ing for film, theater, performance art and
advertising. He is also the creator and administrator of the label Amp Recs.
ION
www.densidadneutral.com
An audiovisual noise trio based in Guadalajara, it features Eduardo Martínez (Meiker)
from The Copy Violators and León Barragán (MATA), both on synthesizers and
laptop, and Javier de la Torre (Píldora) on
the pixels.
TINNITUS
They use tons of field recording sequencing, tape loops, guitars and a few wind instruments. They have only performed live
once, at the Ferroproyección. But they are
scheduled to release their first album in
2009.
WESTEMP
Homero Gonzalez
Gonzalez, aka H and Home, is a trained
musician and sound engineer who studied
in Madrid, where he worked at reputable
studios and production houses. He is a
fundamental part of Licuadora Records,
as he is in charge of the mastering process for every release and engineers every
concert.
As Westemp he has released the album
Memoria with BAKTUN RECORDS, and recently Toast a Film (L005CD) with Licuadora.
PISCIS
Arturo Ortega
www.amp-recs.com
www.myspace.com/piscismusica
Based in Guadalajara, he has been work-
THE HOOLA HOOP SESSIONS
They never repeat a track, an instrument
or anything that is pertinent to music for
that matter. It is always an improv act that
is full of fun. LEÓN CASAR
Appears on two tracks of Licuadora’s Vol.
1 (L004CD). THE 666 NOISE FILMS
It’s a joint project of Dalia Huerta Cano and
Esteban De la Monja Casar. It consists
of a feature length noise film. The movie
has loads of distortion, both with the image and the sound. It also has been made
with experimental custom made software
that creates generative video and sound
granulation. It’s scheduled to be finished
and released by Licuadora Records in mid
2009.
Radio… “online, baby!”
Radioglobal is a multimedia radio project
that uses the Internet as a platform to explore a new and alternative means of expression, entertainment and broadcasting.
It originates from Tijuana but is broadcast
to the rest of Mexico and all over the world.
This radio project creates a space for free
expression by building bridges among
diverse social and cultural movements.
As its name says, its objective is to offer a
radio-based option as well as a musical and
cultural collective where borders go unnoticed or fade into the background.
Radioglobal is made up of diverse commentators, DJs, journalists and artists
involved in cultural, communication and
education projects. More than 100 people
from various cities in Mexico, the United
States and Europe participate on its website. Radioglobal’s embassies are located in
such cities as Guadalajara, Puebla and San
Diego. This collective’s presence has become better known in the public through
events, concerts, festivals and forums on
the media and contemporary art that it
has promoted and sponsored
throughout the world.
“Oh Yeah, baby!”
www.radioglobal.org
The Lifestyle briefs
WORLDWIDE
flight
food
from
to
MEXICO CITY
sao paulo
Juarez international
airport
Guahrulos InternATIONAL
AIRPORT
for mexican
cuisine fans
DISTANCE
7,440 KM
TIME OF FLIGHT
10 HOURS
food
Booking Sunny
Reservations
Marriott International will invest more than
1 billion usd to nearly triple its presence in
Mexico within the next five years. Some of
the developments the company has in the
pipeline include: a luxurious 450-room JW
Marriott Milla de Oro Resort & Spa and
the upscale 150-room Renaissance
Milla de Oro Resort, both of which are
expected to open in the Riviera Maya
in 2011.
Good news for people who have always
wished to unveil the secrets of Mexican
cooking or for those who simply love
such dishes as quesadillas, chilaquiles
or mole negro. Cocinar Mexicano –a
cooking school located in Tepoztlán,
Morelos– is offering a special one-week
program on traditional and contemporary cooking.
Top regional chefs who usually
keep close guard of their secrets are in
charge of the kitchen!
www.marriott.com
www.cocinarmexicano.com
52 Negocios i The Lifestyle
photo: courtesy of rosewood hotels and resorts
tourism
Luxury and Exclusivity
near Puerto Vallarta
Only 50 minutes away from Puerto Vallarta International Airport and in one
of the most exclusive and attractive
beaches in Mexico, the St. Regis Resort makes its debut.
This magnificent vacation complex,
from the Starwood Hotels & Resorts
worldwide chain, has an exquisite, hand
crafted touch. It is located over almost
nine hectares on Banderas Bay and has
89 luxury rooms, 30 exclusive suites and a
grandiose three-bedroom presidential suite.
The development has three high end
restaurants that serve international cuisine, three infinity pools with private cabins, a gym, a beach club, tennis courts, a
spa and two Jack Nicklaus signature golf
courses.
www.stregis.com
The Lifestyle briefs
24 Hour Customs
The City
Mexico goes duty free
For international tourists, shopping
in Mexico can now result in even
more savings thanks to a program
that allows foreigners to request a
tax refund on certified purchases of
more than 1,200 pesos (about 90 usd).
This is not inclusive of accommodation, food or services expenses.
To request this refund, consumers need to fill in a form and
present it with a proof of payment
at modules installed in ports of entry and airports around the country. In some instances, it is also required to present the merchandise
that was bought.
50% of the refund –up to a maximum of 10,000 pesos (about 750
usd) per person- is reimbursed immediately. The rest is transferred
electronically within 40 days. This
program operates in cities like
Monterrey, Los Cabos, Morelia
and Mazatlán.
photo: courtesy of zacatecas government
Starting in December 2008,
Mexican Customs in Juárez,
Chihuahua and Nuevo Laredo, Tamaulipas will be
open 24 hours a day from
Monday through Friday
as part of a pilot program
within the framework of
the Bilateral Customs
Strategic Plan between
Mexico and the United
States. The program,
which will initially
last for six months,
intends to speed up
the processing of
commercial
cargo and increasing competitiveness
between both
countries.
Colonial Patrimony
Zacatecas is a historically enchanting city located in north-central Mexico. Dressed in baroque and pink stone, this capital city of the state with the same name
was declared Cultural Patrimony of Humanity by UNESCO due to its rich history
and architecture.
In addition, Zacatecas offers endless recreational activities including: strolls
through its uneven streets, concerts, eco-tourism, visits to archaeological sites,
culinary delights and its famous tours through historic mines that can be found
all around the city.
While mining continues to be the region’s main economic activity, further
investments are being made within the increasing tourist and services sectors.
www.zacatecas.gob.mx
54 Negocios i The Lifestyle
photo: courtesy of banyan tree
destination: resorts
Breathtaking
Resorts,
Unforgettable
Experiences
by: emmanuel lópez-lópez
Preferred by celebrities,
politicians and jet-setters
Mexican beaches are among
the most visited tourist
destinations around the
world. Luxurious tourist
developments offer visitors
world-class services along
with the opportunity to enjoy
unforgettable experiences.
N
o matter how many times a
year taken, vacations never
fail to transform people’s
routine, especially when the
chosen destination guarantees a unique journey.
Mexico has everything for visitors to
turn their trips into extraordinary adventures. Besides scenery and destinations that
have made it a favorite stop for both national and foreign travelers, the country’s
tourist industry has luxury resorts competing in excellence with top destinations
around the world. These properties have
been constructed in the right spots, where
they harmoniously combine architecture
and decoration with natural environments.
They also demonstrate the unbeatable
fruition of the country’s tourist market.
A window to paradise
During the 1950s, Los Cabos, on the tip
of Baja California Peninsula, amazed Hollywood stars with its natural beauty, isolation and the privacy of its beaches.
Nowadays, in an area known as Cabo
Real –between San José del Cabo and
Cabo San Lucas and only 20 minutes from
San José international airport– a magnificent resort has been erected under a poetic name: Las Ventanas al Paraíso.
This is one of the most acclaimed ultraluxury resorts in the world, known for its
beauty, serenity and private, stylish rooms.
It is an idyllic atmosphere of relaxation and
exquisiteness, bursting with flowers and
ponds right in the middle of the desert.
Las Ventanas al Paraíso offers its guests
exclusivity in every detail. In each suite, a jacuzzi awaits, as well as a terra-cotta chimney, a sparkling pool, handmade artisan
crafted decorations, a telescope and even
an iPod that guests can upload with their
favorite music. In addition, services include attractions such as a world-class spa,
fine cuisine, a wine cellar with around 2,400
bottles and an 18-hole golf course created
by famed designer Robert Trent Jones II.
silky beaches
days in private paradises,
gourmet cooking with
the finest regional ingredients
and hours of relaxation
in ultra-luxurios environments
are some of the experiences
Mexico offers to welcome
its visitors.
56 Negocios i The Lifestyle
photos: courtesy of banyan tree/rosewood hotels and resorts/capella hotels
01 dinner at the beach is one of the many
pleasures that this resorts have to offer.
02 las ventanas al paraiso entrance.
03 Banyan Tree mayakoba private
residences offer privacy and luxury.
01
02
03
Banyan Tree Mayakoba
Fused among natural wells, animal life, vegetation and the gorgeous Mayan Riviera
landscape, Banyan Tree Mayakoba can
be found. This is an intimate, relaxing atmosphere immersed in an exclusive community-resort. Located between Playa del
Carmen and Cancún, this is an authentic
paradise inspired in Asian trends.
This resort has 132 private villas, 50 of
which are currently for sale. The resort also
offers its guests an exquisite spa with holistic
therapies and a gallery where the finest artisanal products by local artists can be bought.
25 rooms, 11 of which have a private pool.
The atmosphere is of maximum intimacy
along with a view of Zihuatanejo Bay. In
addition, this “piece of the sky” has a pair
of private residences called El Murmullo y
El Ensueño, which are served by a butler,
a housekeeper and a chef. With a traditional Mexican style, every corner of this
hotel on the edge of the Pacific is filled with
artisanal details and flower motifs. Since it
is a hotel conceived with a romantic touch,
accommodation is restricted to adults.
are perfectly complemented by the soft and
white sand beach, the resort’s tranquil environment and a great variety of spa therapies
and various activities going from yoga and
pilates to snorkeling or kayaking.
La casa que canta
Carved out from a cliff in the scenic route
to Playa la Ropa and only 20 minutes from
Ixtapa-Zihuatanejo International Airport,
this tiny and cozy resort ranks among the
best of its kind worldwide. There are only
Ceiba del mar
Surpassing the limits of comfort and luxury,
this big resort is located on the edge of
Puerto Morelos, 20 minutes south Cancun’s
international airport. Ceiba del Mar has 88
luxury rooms, 37 suites and seven penthouses located in front of the Mayan Riviera.
Its terrace lounge, bars and two restaurants
Capella Bahía Maroma
In spring 2009 luxury resort corporation
Capella will be inaugurating its third destination in Mexico. Capella Bahía Maroma
will be located in the Yucatán Peninsula on
245 acres housing the unique private golf
course in the Mayan Riviera.
Memberships to the ultra-luxurious Golf
Clubhouse will be limited to 300 people,
from guests and residents. The complex
will have 85 suites and 130 private residences, all with magnificent views to the
Caribbean and located very close to vibrant Mayan archaeological such as Tulum, Coba and Chichen-Itzá. n
destination: resorts
rooftop terrace
whit an infinity pool
is one of the many
features at the
Banyan Tree
Mayakoba Residences
this is a intimate
relaxing atmosphere
immersed in an exclusive
community-resort.
58 Negocios i The Lifestyle
photo: courtesy of habita mty
Business trips, urban pleasures
Business traveling doesn’t need to be boring. Mexico’s main cities offer a wide range
of boutique hotels that make the stay quite an experience. When it comes to food, the country
offers some of the most sophisticated restaurants with cuisine from all around the world.
By Karla Bañuelos Sáenz
B
usiness trips are most likely to
lack of spare time to have a look
around the city and enjoy its cultural and entertainment options.
However, a business trip can turn into a
pleasant experience by choosing the right
accommodation and enjoying a delicious
dinner after a hard day work.
Mexico City, Guadalajara and Monterrey have become the main business
destinations in the country. Each one of
these cities has a wide variety of hotel and
restaurants that not only satisfy the most
discerning tastes, but also are authentic
attractions that guarantee delightful moments for any business traveler.
Mexico City
The city that blossoms in every corner. Exciting, contrasting and with all the possibilities found in a metropolis, it is one of the
main business destinations in the country.
Hotels
Located in a fancy neighborhood where artnouveau buildings are reminiscent of the
old times, Condesa DF is an avant-garde
hotel with the capital city’s style. The interiors of this space, which at the beginning
of the twentieth century was an apartment
building, are the creation of Paris based designer India Mahdavi, whose work is widely
known for its elegance and fluidity.
In the heart of Polanco, the glass walls
of Hotel Habita achieve a futuristic vision,
as if out of a science fiction film. Habita
is known for the contemporary look of its
32 luxury rooms, 4 junior suites, a spa, a
climate-controlled pool, jacuzzi, solarium
and business center. The environment
surrounds guests with the art of Jan Hendrix and Silvia Gruner and the furniture of
Charles Eames, Karim Eashid and Fritz
Hansen.
Hotel W combines innovative design
with all the necessary services for a business trip, which is the hotel’s specialty.
It has a business center, 237 rooms with
natural light and equipped with everything
needed for a virtual office. Hotel W ensures
that guests get all they ask for at any time
of the day simply by pressing the “whatever/whenever” button, a concept that has
distinguished the chain worldwide.
habita mty
is one of the most
exclusive places of
this northern city.
report: business travel
60 Negocios i The Lifestyle
Photos: courtesy of rosewood hotels and resorts/habita mty
Restaurants
Ivoire is a trendy restaurant with a style and
decor that transports restaurant-goers to the
South of France. Among the delicacies on the
menu are royal couscous or shrimp curry.
For those into Mexican cuisine, Paxia is a
must. Chicharrón lasagna or pulque shrimp
are some of the restaurant’s signature dishes.
Sud 777 has become one of the latest
favorites, with a menu of international cuisine
and an environment filled with jazz music
and open spaces.
Other great options the city has to offer
are: Au Pied de Cochon, Porta Pescara,
Pujol, Jaso, Tori Tori and Brássica.
facilities that make for a perfect stay.
Quinta Real is considered one of the
most classy business hotels in the city. It
is a popular option among politicians and
important businessmen. Surrounded by
gardens and fountains, this colonial style
building has 125 suites with small living
and dining rooms. The common areas are
filled with art pieces that highlight the classic contemporary style of its decoration.
Other lodging options include Antarisuite Cintermex and the President Intercontinental Hotel, which has more than
200 rooms in a building with a fantastic
view of the Sierra Madre mountain range.
Monterrey
Capital city of the northeastern Mexican state
of Nuevo León, known as Sultana del Norte,
is a modern industrial and business center.
Restaurants
Monterrey’s famous cabrito (roast goatkid) is something not to be missed. There
are also other gastronomic options that
range from fine cuts of steak to fusion and
international cuisine.
With a menu that includes glazed
salmon and filet with port sauce, 11:11 is
well known for its amazing wine cellar with
more than 300 varieties from 15 countries.
The flavor of Italy can be savored at
Bianco, that includes among its specialties
Alferri salmon, duck a l’orange and a variety
of pasta dishes.
Hotels
The newly opened Hotel Habita, located
in the O2 Vasconcelos business center, is
one of the most exclusive places of this
northern city. French designer Joseph Dirand created a bright space with clean and
simple architectural lines, minimalist decor
and fresh air. It has 39 rooms, a lounge, restaurant, bar, business center, spa and other
01
02
report: business travel
01 indoor relax pool at the W Hotel.
02 a modern and chic bar at the
W in Mexico City.
03 wheels waiting area
at the looby of the W Hotel.
04 the restaurant at the Habita MTY.
A great place for Oriental food is Mandarin.
Their dishes invite to splendid Asian journeys
from Japan to Malaysia, Thailand or China.
Guadalajara
Mexico’s second biggest city and a major
force in Mexico’s economy, culture and religion. It exerts significant influence on the
rest of the country, and has the most significant and ambitious infrastructural projects
in Mexico.
Hotels
In the last few years, the future site for the
Pan American Games has become one
of the country’s most dynamic cities. For
those traveling on business to the Perla
Tapatía, as Guadalajara is known, there
are plenty renowned international hotel
chains and several new boutique ones.
Located in what used to be an old
house from the 19th century, Hotel Gardet
combines luxury and modernity. Guests
will find such details as Bvulgari amenities
and delicious dishes prepared with organic
ingredients in Arrayán Restaurant.
Based on a minimalist concept, Hotel
Clarum 101 is located in Parque Juan Diego
Street, a beautiful green path considered the
prettiest street in the city. The white walls
of the nine rooms contrast with the colorful paintings by local artists. This gives every
space a distinctive environment. Another attractive quality is the Asian influenced menu
and a wide selection of wines.
Villa Ganz is located in a residence built in
1930 and was recently remodeled. It has a
warm and elegant environment. This hotel is
part of Mexico’s Boutique Hotels Collection
and its attractions include: nine rooms, a terrace with a chimney, a garden and proximity
to the best restaurants, museums and bookstores in town.
03
Restaurants
I Latina is a classic in Guadalajara. Its
menu offers a fusion of Italian, Thai, Japanese and Chinese cuisines; along with a
kitsch-style décor, this is no doubt one of
the most visited restaurants in the city.
The menu at María Bonita is an example of the best high end Mexican cuisine.
With dishes like duck in tamarind sauce,
lobster al pastor and gusanos de maguey
(worms), María Bonita’s flavors merge tradition with modern creativity.
The much talked about De Santos,
now has a location in Guadalajara where
restaurant-goers can taste such delicious
specialties as lamb chops in almonds. n
04
62 Negocios i The Lifestyle
photo: Courtesy of Fundación alas
Alas Foundation, Wings for Children
by alvin monárrez
Mexico and the rest of Latin America’s countries face a challenging time. With weak world
economies and food prices going unexpectedly high in the last months, support for the
less privileged is needed more than ever.
ALAS (Spanish for wings) is a philanthropist organization dedicated to helping improving the lives of Latin American children.
It is funded by well known celebrities, socialites and businessmen; including moguls
like billionaire Carlos Slim, CEO of Carso
Group and Emilio Azcárraga Jean, president
of Televisa Group; as well as entertainment
personalities like singers Paulina Rubio,
Aleks Sintek, Lucero, Emmanuel and bands
from all music genres such as Timbiriche,
Los Tigres del Norte or Maná. The positive
spirit surrounding this cause has inspired them
all. In 2008, their efforts included staging
simultaneous concerts in Mexico City and
Buenos Aires that were attended by thousands of people who made donations to offer children a better life.
ALAS Foundation works as a vehicle for
change by creating effective education, health
and nutrition programs for children during the
most important years of their upbringing.
Artists, businessmen and other supporters of ALAS are using their influence to encourage the public to commit to this cause
and work together as tools in the fight against
poverty and inequality. n
clockwise
The President of Mexico, Felipe
Calderón and Shakira at a ALAS
event, Maná during a concert
for the ALAS foundation,
Some of the artist and
entreprenuer working with
the ALAS foundation,
FEEDBACK: Alas
Alas Facts
32 million children under 5
to help in Latin America.
110 million usd donated
by Carlos Slim.
December 12, 2006, was the
date of ALAS creation.
85 million usd donated by
businessman, Warren Buffett.
64 Negocios i The Lifestyle
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th D
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S d
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M n dho ica
io il er
ill e ch Am
m cat in
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20 to e ty in
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ALAS Facts
$110 million
32 MILLION
USD donated
by Carlos Slim.
Children Under 5
to help in Latin America.
$85 million
USD donated by
Warren Buffett
December 12, 2006: when ALAS was founded.
Since its beginning,
the foundation has
worked with more than
40 Latin American artists,
academics and businessmen.
infographic: oldemar
The ALAS foundation counts on the support of 16 companies as well as governmental assistance.
On Sept. 24, 2008, the ALAS foundation
organized the help and assistance
of five Latin American presidents at a
historic event held at Columbia University.